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Airport Regulations To Protect Users

August 10 1999

IMMEDIATE RELEASE

Hon Maurice Williamson

Minister of Transport

AIRPORT REGULATIONS TO PROTECT USERS

Regulations to give airport users greater protection against monopoly abuse have been approved by Transport Minister Maurice Williamson.

"The regulations cover information disclosure requirements for airport authorities. They're part of a package of measures developed under the Airport Authorities Amendment Act 1997 to deter airports from engaging in monopoly pricing," said Mr Williamson.

That Act established a two-part regime to control monopoly abuse. The first is a requirement that airport companies consult on capital expenditure plans and airside charges (such as the landing charges paid by the airlines, and passengers' departure charges). The second part is a requirement that the companies disclose information.

Mr Williamson said the new regulations outlined a comprehensive disclosure regime to meet this requirment.

"There's no evidence that the airport companies are abusing their positions, so more prescriptive regulations are not warranted."

The regulations:

set specific disclosure requirements for the charges, rate of return, asset valuations and reliability statistics and

require the disclosure of the statement of performance (profit and loss statement) and statement of position (balance sheet) for the non-contestable side of the airport companies.

"These regulations have been the subject of extensive consultation with the three international airports and the airlines, and the final wording reflects many of their views." Mr Williamson said.

The regulations come into force from 1 September 1999.

ENDS


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